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reimbursement check to employer

An employee gave me a reimbursement check for using the company card, how would I record that?

 

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Best answer 12-19-2018

Accepted Solutions
Moderator

Re: reimbursement check to employer

Hey there, @PhillipsDevelopment.

 

Thanks for reaching out to us here in the Community. Allow me to jump in for a moment and share some information about how to record a reimbursement check from your employee to QuickBooks Online (QBO).

 

Yes, that's right! You can't record the check through the Received Payment since it's not a sale. However, you can record it through the bank deposit instead. From there, you can select an employee (who gave the check), an expense account (which @SouthernStacy mentioned above) and a bank account (where the cash back goes to).

 

Here's how:

 

1. Click the Plus icon at the top, then pick Bank Deposit under Other column.
2. Choose a bank account on the Account drop-down.
3. On the Add funds to this deposit, select an employee on the RECEIVED FROM and the expense account on the ACCOUNT.
4. Enter the amount of the check, then Save and close.

 

I also added a sample screenshot below.

 

 

If you're not sure what expense account you need to choose, you can consult your accountant for further assistance. Just in case you need it, here's a helpful article that tackles recording bank deposits in QBO: How to record bank deposits.

 

That should do it! Please let me know how it goes or if I can be of additional help. I'd be glad to answer if you have follow-up questions. Have a great rest of the week.

8 Comments
Frequent Contributor *

Re: reimbursement check to employer

Hi there!

So let's say this employee was buying something personal, just to make this a little more clear.  She goes and get the items with the card, but then writes you a check for your expense, correct?  

You would accept that check into the same account that the items would be (doesn't really matter, I would put it to Miscellaneous expense) and it will be a wash.  The money went out, but it came back in the same amount, so as long as you record both into the same expense account you will be fine. 

Thanks, hope that helps!

-Stacy

https://www.manage-accounting.com

Not applicable

Re: reimbursement check to employer

My problem is that QBO is not letting me receive the payment because it is not a customer. 

Would I just have to create a journal entry?

 

Moderator

Re: reimbursement check to employer

Hey there, @PhillipsDevelopment.

 

Thanks for reaching out to us here in the Community. Allow me to jump in for a moment and share some information about how to record a reimbursement check from your employee to QuickBooks Online (QBO).

 

Yes, that's right! You can't record the check through the Received Payment since it's not a sale. However, you can record it through the bank deposit instead. From there, you can select an employee (who gave the check), an expense account (which @SouthernStacy mentioned above) and a bank account (where the cash back goes to).

 

Here's how:

 

1. Click the Plus icon at the top, then pick Bank Deposit under Other column.
2. Choose a bank account on the Account drop-down.
3. On the Add funds to this deposit, select an employee on the RECEIVED FROM and the expense account on the ACCOUNT.
4. Enter the amount of the check, then Save and close.

 

I also added a sample screenshot below.

 

 

If you're not sure what expense account you need to choose, you can consult your accountant for further assistance. Just in case you need it, here's a helpful article that tackles recording bank deposits in QBO: How to record bank deposits.

 

That should do it! Please let me know how it goes or if I can be of additional help. I'd be glad to answer if you have follow-up questions. Have a great rest of the week.

Not applicable

Re: reimbursement check to employer

Hi! 

In your response, you said. "you can record it through the bank deposit instead. From there, you can select an employee (who gave the check)" - Under RECEIVED FROM, I can only see a list of Customers and Vendors, not Employees.

Any help on this would be really appreciated!

Thank you!

VR

Established Community Backer ***

Re: reimbursement check to employer

@FritzF

 

Please learn from this input; this is Never Expense.

 

@VR17

 

Any spending from business resources (bank, cash, credit card) done for employee Personal issues is posted as Other Current Asset; this is Lending to that employee. It is Not Business-related, so it never hits the P&L.

 

The repayment is posted as a deposit for that same Other Current Asset. This is Employee Loan and Loan Repayment.

 

You don't need a name in the Deposit screen at all. And that's why it isn't a Received Payment, because it is not against an unpaid Sale.

 

Also, Other Current Asset is how you manage employee repayments from Net Takehome Deduction.

QuickBooks Team

Re: reimbursement check to employer

Hello, VR17.

 

You're unable to choose the employee's name, but, you can add that information in the Description field. When payments are made, deposit it, and make sure to use the correct account. 

 

Please check screenshot for reference.

 

SC.PNG

 

Feel free to let us know if you need our help. Have a nice one! 

 

Not applicable

Re: reimbursement check to employer

 

 

Moderator

Re: reimbursement check to employer

Hello VR17,

 

Welcome to the Community!

 

Do you have any questions about creating reimbursement check to employer? If you do, please don't hesitate to post them here. 

 

Have a great day! 

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